Trading Options Greeks

Foreword Preface Acknowledgments Part I The Basics of Option Greeks Chapter 1 The Basics Contractual Rights and Obligations ETFs, Indexes, and HOLDRs Strategies and At-Expiration Diagrams Chapter 2 Greek Philosophy Price vs. Value: How Traders Use Option-Pricing Models Delta Gamma Theta Vega Rho Where to Find Option Greeks Caveats with Regard to Online Greeks Thinking Greek Notes Chapter 3 Understanding Volatility Historical Volatility Implied Volatility Expected Volatility Implied Volatility and Direction Calculating Volatility Data Volatility Skew Note Chapter 4 Option-Specific Risk and Opportunity Long ATM Call Long OTM Call Long ITM Call Long ATM Put Finding the Right Risk It's All about Volatility Options and the Fair Game Note Chapter 5 An Introduction to Volatility-Selling Strategies Profit Potential Chapter 6 Put-Call Parity and Synthetics Put-Call Parity Essentials American Exercise Options Synthetic Stock Synthetic Stock Strategies Theoretical Value and the Interest Rate A Call Is a Put Note Chapter 7 Rho Rho and Interest Rates Rho and Time Considering Rho When Planning Trades Trading Rho Notes Chapter 8 Dividends and Option Pricing Dividend Basics Dividends and Option Pricing Dividends and Early Exercise Inputting Dividend Data into the Pricing Model Part II Spreads Chapter 9 Vertical Spreads Vertical Spreads Verticals and Volatility The Interrelations of Credit Spreads and Debit Spreads Building a Box Verticals and Beyond Note Chapter 10 Wing Spreads Condors and Butterflies Taking Flight Keys to Success Greeks and Wing Spreads Directional Butterflies Constructing Trades to Maximize Profit The Retail Trader versus the Pro Notes Chapter 11 Calendar and Diagonal Spreads Calendar Spreads Trading Volatility Term Structure Diagonals The Strength of the Calendar Note Part III Volatility Chapter 12 Delta-Neutral Trading Trading Implied Volatility Direction Neutral versus Direction Indifferent Delta Neutral Trading Implied Volatility Chapter 13 Delta-Neutral Trading Trading Realized Volatility Gamma Scalping Art and Science Gamma, Theta, and Volatility Gamma Hedging Smileys and Frowns Chapter 14 Studying Volatility Charts Nine Volatility Chart Patterns Note Part IV Advanced Option Trading Chapter 15 Straddles and Strangles Long Straddle Short Straddle Synthetic Straddles Long Strangle Short Strangle Note Chapter 16 Ratio Spreads and Complex Spreads Ratio Spreads How Market Makers Manage Delta-Neutral Positions Trading Skew When Delta Neutral Isn't Direction Indifferent Managing Multiple-Class Risk Chapter 17 Putting the Greeks into Action Trading Option Greeks Choosing between Strategies Managing Trades The HAPI: The Hope and Pray Index Adjusting About the Author Index